The government has started the process of IPO of Life Insurance Corporation of India (LIC). The Department of Public Safety Management and Investment (DPAMI) has sought bids from consulting companies, investment bankers and financial institutions for appointment of advisors.
IPO of Life Insurance Corporation of India (LIC) may be the largest IPO in the Indian stock market. For this, the government can appoint two pre-IPO transaction advisors. Due to Corona epidemic, the government has postponed the process of disinvestment of other companies.
The government has given time till July 13 to prepare the bid for this issue. Bidding can be done from July 14. These advisors will prepare the proposed IPO. Will give detailed information about this to the government. They will explain about all the concepts like time, structure, value, positioning etc.
The government said in the RFP, “The government is planning to select two partners for pre-IPO transaction advice. For the launch of LIC’s IPO, the government has asked good image consulting firms, investment bankers, merchant bankers, financial institutions, banks Applications are asked. “
The RPF states that it is necessary for the bidders to execute at least Rs 5,000 crore issue in one or more transactions during April 1, 2017 to March 31, 2020 or capital of Rs 15,000 crore during this period. Have done the transaction.
The government wants to list the country’s largest insurance company on the domestic market from January to March next year. The Finance Ministry has set a target of disinvestment of Rs 2.10 lakh crore for this year, in which the role of LIC’s IPO will be important.
It was announced by Finance Minister Nirmala Sitharaman while presenting the budget for the financial year 2020-21. LIC is fully owned by the government. He had said, “Through listing, the value of the company will be unlocked and the government also wants to make retail investors its share.”
LIC India Website: https://www.licindia.in/